Report. At first glance, it looks like a report that would be quite bullish for oil prices. Is sure when the last time we had this kind of a drawdown in oil inventories. The most it looks like only going back to earlier in may. We have had some drawdowns here back to back. Elsewhere, in terms of what we are watching today, we have stocks rising not by much, but a little bit of a bounce back stocks after a couple of days of declines. I am going to check and see what Energy Shares are doing on my bloomberg. They are up. 6 in the bestperforming group in the s p 500. That definitely lending to some of the gains. On the downside, today we have hewlettpackard enterprise, those shares pulling back by session. Odays the Company Getting a disappointing profit outlook as it is competing more heavily with other companies in the cloud industry. That is one of the biggest laggards we are watching in todays session. We are watching a lot of the automakers today. Weve got a mixed picture as usual. Tesla doesnt report sales on a monthly basis. The shares pullback two thirds of 1 . Gm sales actually missing estimates. The company reporting a drop of 1. 3 last month in u. S. Sales. The shares are up for, fiat crossley the across the chrysler. Ford with a greater gained than estimated saying it saw increased deliveries to rental Car Companies specifically. Consumer discretionary showing strength today as a result of the automakers. Mark sentiment 30 minutes gmm ,ession everything you know about the numbers. Green is your color. Stocks up for the first day. Worst run of the fiveday losing streak since november currencies , bonds, commodities. Lots to talk about. Swiss gdp data accelerating less than forecast at the start of the household spending. Sectors long blighted by the strong frank wants to back. 3. 9 jump in exports in the First Quarter helped gdp rise. 3 . The estimate was. 5 . Still the strongest performance in three quarters. Consumer spending up by. 1 , a sharp slowdown from the. 9 rate at the end of the 2016 year. Todayere, china pmi data on the private side came in below 50. Yesterday we did the headline figure from the government above 50. What does that tell us . Economics,et manufacturing, pma pmi falling. Lowest trading since june of 2016 below the estimate of 50. 1. The private measure has a smaller sample size contrast with the government figure indicating manufacturing was steady last month and as the e. U. And china meet in brussels to discuss trade and climate, this is a great chart, the trade balance of the e. U. With china. It will present an opportunity for china to demonstrate its leadership on global us to use and free trade free trade, at a time when the u. S. Is turning inward. Isnie President Trump expected to make a decision today on the paris climate treaty where he will likely withdraw the u. S. From the landmark agreement. Other world powers have vowed to defend the deal including china, the worlds number one polluter. Reaffirmed his countrys commitment to tackle Global Warming in a joint press conference with german chancellor Angela Merkel. From threethe different the accord from three different angles. Kevin cirilli is at the white house. Government reporter Patrick Donahue is in berlin. Let me come to you and ask you about the technicalities. Made ant trump will have decision by 3 00 p. M. Eastern. Are there people working on various outcomes or is it more or less decided . Kevin we just got word from the white house that this announcement is scheduled to come at about 3 00 p. M. You can expect anticipate that all the fanfare will begin at about 2 30. I think the bottom line is that the president has already made his decision, but the devil will be in the details because there is the potential that he would be able to perhaps provide some wiggle room in the sense of giving congress a little bit more oversight or control over negotiating the paris accord. Top conservatives argue for that during the obama administration. We should note the juxtaposition of the president fulfilling a alsoign promise while having a bit of a walk back on keeping the u. S. Embassy in tel aviv as opposed to moving it to jerusalem. The white house putting out a statement saying that decision on a no means final, but day in which he is fulfilling a Campaign Promise to his supporters and the likes of steve bannon, he is not on jerusalem. And not easy to walk away kevin talking about the senate option. There are three other options as well. Rattle through them for us. There are a couple of different options. One is he could leave the paris accord. That is the agreement signed in 2015 and i would take about four years and at the end he would have to sign a piece of paper saying he was going to leave. We dont know the situation what the situation will be like. The Nuclear Option could be to leave the United NationsFramework Convention on Climate Change agreed in 1992 and that would take a year. Finally, he could do nothing and he could not meet the paris targets and there will be no penalties. Mark earlier, patrick, we had german chancellor Angela Merkel meet with Chinese Premier League chang and he pledged to stick to his pledges to tackle Global Warming. That really does isolate donald trump and the u. S. Administration further, doesnt it . That was the big one. That is the one we were waiting for this morning. Angela merkel has been making overtures to china since the week after trumps inauguration and both leaders made it clear that they consider themselves to be responsible for preserving the global trade order with china as well on board for preserving free trade. Position imerkels think was made clear at the beginning of the week because she was among the six liters sitting with six liters sitting among leaders sitting among donald trump try to get him on board the next day ca saying that the reliability that germany has in terms of the u. S. May be a thing of the past. Vonnie our thanks to bloombergs Kevin Cirilli in london, jess shankleman, and after donahoe Patrick Donahue. Over tots go get russia, the annual Economic Forum is underway. Erik schatzker is there with an exclusive interview with an oil titan. Erik it is amazing to you run into at the st. Petersburg Economic Forum, bob dudley, the ceo of bp has been kind enough to share a few minutes of his time for me. People may not know that bp actually still has a business here in russia. Will getartners and we into that. I would like to begin by asking you about oil prices, of course in russia together with opec and other world producing nations have extended their production cuts by nine months. Tohasnt done a whole lot lower the Oil Price Since then. Are you surprised . Bob it is an unprecedented agreement. Stabilized to a degree, the oil markets. Had they not come to that agreement we would see a lower price. I think on a daily basis it is bringing supply and demand back into balance. To thece get it down average over the last five years. It will take some time, but i think it is going in the right direction. Erik the rand is just slightly north of 50. If the cuts were extended, where would it be . Bob it is hard to say. Vivian production is coming along with other libyan production is coming along with other factors. 40, but lowly the 40 . Production is healthy, all of these things can go up and down. Shale production continues to rise, getting these agreement in place keep the oil price between 50 and 60 is probably the objective and i think that is a healthy price for the world. Erik the futures curve suggests oil will be trading in the 50 cuts expire nine months from now. What reason is there to believe that is the case if the cuts were required to keep oil from dropping into the 40s now, why wouldnt more cuts cuts expire s from now. Be required to keep it from dropping into the 40 a few months 99 nine months from now . At all theill look data and see how the markets responded if they extended or make another agreement. I think we will not know until the very last minute. That is sort of their business. The fact that the level of communication and cooperation together between the countries, i think they are sort of working together on that. Some concern, if you will, at the very least interest in the question of whether opec and the russians and the others have trapped themselves into a permanent cut uttuation permac situation, that you have to keep extending the cuts or you end up with an oil price that is too low to satisfy your needs. Bob i wouldnt say they trapped themselves into something. I think there is a lot of variables. Demand levels will continue to rise as about Economic Growth continues to grow. I worry about the stability of venezuela production. Libya is up and down a little bit and it could go up and down either direction. Erik how do these cuts affect the production share you get in other countries as well . The aue and azerbaijan . Bob as they produce reduce that reduce production, we see that go down. Some of the concessions in abu think the loss of production because we would rather go for value over volume, the value of the higher price results in these reduction probably offset themselves. Erik in other words, you see it exactly the same as they do. Bob i do, yes. Erik have we reached a point where opec together with its partners is beginning to take more control over Global Oil Price for his this really just a temporary situation . Bob the swing producer is at the saudi arabia or shale, shale , but iicularly healthy think this is not a question that has been answered yet by the markets. One of the countries can decision impact reduction very quickly and same with the market levels. I would have to talk to the opec ministers, but i think they dont want shock. Erik clearly that is one of the things they are trying to avoid. I dont need to tell this to you, it is more for everyone else, shale has become a swing producer but the cost continues to crater. Bob they are coming down. Theres also a lot of companies that are not generating cash. I dont see the cash going back to the shareholders, so the economic model is not Crystal Clear to everybody either. Erik let me ask you this question is that being the case, 50. Assume wti fetches how much longer can those zombie producers continue to pump . Bob i think the Permian Basin is the exception. I think it can operate in the 30 rate. I think it will be more difficult for some of the other basins. I think the Permian Basin can go lower. Can you seech lower cost going down globally because they are not just going down in shale country. We have seen them go down in deep water as well. Bob it wasnt that long ago they made money at 25 a barrel and 30 a barrel. This is a massive readjustment of cost if they come down and they will come down around the world. Technology will change and make it more efficient, but there is no question about greater from reservoirs. Pay bp is the break even right now . Bob because of deals we did this year we are above 55 a barrel. With the plans we have in the project, we can see a breakeven cost in 35 35 or 38 a barrel. This year is a good year and an important year for bp. We have seven Major Projects in the commodity upstream. We got three of them already started and the other four on track. Its an important year for bp to get back within a Financial Framework. We have had our own special circumstances with fines and penalties in mexico and those are set now. Erik if the United States and the europeans were to relax sanctions on russia, would that create an opportunity for bp to do more business here and what you seize that opportunity . Bob we do Business Today well within the boundaries of the sanctions. We have a lot of work and new work and projects we have planned. For us it is not it is about maintaining a capital framework. We have a lot to do. That is probably the barrier rather than wanting to do erica it is more a question of whether the funds would be available as opposed to whether you would have the opportunity to do it. Bob we work with ross net in russia, but it is the Financial Framework that will keep us is a blend over the last next five years. Theres a lot of things we would like to do in russia and other places in the world. Erik as you are well aware, President Trump needs to make a decision about whether to stay in or drop out of the paris accord on Climate Change. What is your position and what message would you sent to the president . Bob we have been clear in our support of the climate agreement in paris. We are part of the Climate Initiative which is 10 of the Big Companies in the world working towards projects and technology that are needed. I think we all want to know how the formula would work, but i paris needsncept of to stay in everybodys mind on the issues of weve got to transition the world to a lower carbon warm of energy. I have no doubt it will happen so i think we need to be really clear other than just walking away from it what you put in place for now in the United States. Its an important topic. Erik to what degree is that transition at risk . Going to drivees that transition a matter what happens or does it need the Paris Agreement to accelerate it . Bob it may not need the Paris Agreement, it needs the agreement from governments and countries around the world. I believe those countries, if they drive cleaner air and cleaner energy and have government policy to support that, that is going to help in the right direction. To me, that is the epicenter of this. Its not if you have one giant coal fire plant being built in asia. He co2 is there if anybody is adjusted in my opinion i think some of the worlds multinational funding agencies like the world bank and others should think about how to create the right incentives with funds to Fund National natural gas projects and renewables together in some of these areas. Erik if i understand you, you believe it would help if the u. S. Stayed in a paris accord . Accord support the paris. I think of would be good if they did, but if they are not going to do it, they need to put in place Something Else in the trajectory of low carbon transition. To youoes it make sense that bp supports the paris accord, exxon supports the paris accord, countless other Companies Support the paris accord and yet the u. S. Might withdraw . They arent know if going to withdraw. The last i heard there is quite a debate about it. Erik here at the st. Petersburg economic international forward, bob dudley, the ceo of bp. Mark an exclusive interview, thanks a lot. Erik schatzker, you know where he is. Vonnie st. Petersburg. Thanks, mark. Payment processor is making its first major purchase in over a decade. For 750 million the company is buying car connect, one of the Distribution Partners that runs small to medium transactions. Lets get more from frank, a veteran of the thinking industry. 2004. Major deal since talk to us about the timeline of the deal and why now . Card connect, i have known them since i came to the company , talked to them, talked to them the whole time and been friends and partners. Watched them transform their company as we were transforming hours. Watched leadership innovate and Bring Technology and we thought it was a perfect time to bring the two companies together, the opportunity of expansion of the platform is a fabulous opportunity. Vonnie what does the acquisition bring to first data . Innk we had an investor day late fourth quarter, actually the First Investor day in 10 years for this company. This company made a lot of progress over the past that throw years and we said we would bring more Technology Tools to partners and lower they there are tools set and everything they have accelerate that for us. Vonnie talk to us more about the future. Is this the big deal now for a while or are you intending to continue this street . Streak . Continue this frank the company spent a long time deleveraging. We generated Free Cash Flow of over one billion dollars last year and paid down over 1 billion of debt. Of 2015. Argest ipo our first and foremost preference for cash is to pay down debt, but we will always be opportunistic and i think we will take a breath, get organized, bring this company into the fold very well and get the benefits we need for increase in. Vonnie lets talk about the current administration. You were part of the ceo town hall with donald trump. What sense do you get that Regulatory Reform will be achievable this year . Frank my sense from that meaning meeting was the president and the administration is very committed to getting things done. They have done a fabulous job in communicating to business. Eaders from what i see, they have a full intent of a fullcourt press to get it done. Hard on working really listening to business. I think they are listening to Business Leaders very well. Vonnie it doesnt strike me that it is the most active administration when it comes to actually getting things done. What makes you so confident we will see